LOST GENERATION
Generation X, which consists of 49 million people ages 28 to 39, is not at the top of most marketers' hit lists. Sandwiched between the larger baby boomer and Generation Y groups, Gen X just doesn't have the numbers to influence any major trends. Nonetheless, baby boomers are spending less as they age and Gen X is becoming the vanguard of the married-with-kids market who are reaching their peak income earning years. Our sister publication American Demographics compiled these compelling factoids about a generation caught in the middle.
BABY BOOMERS 2004
| population | 76 million |
| # of households | 46 million |
| annual consumer expenditure | $2.1 trillion |
| % of total consumer expenditure | 50% |
| population | 49 million |
| # of households | 19 million |
| annual consumer expenditure | $735 billion |
| % of total consumer expenditure | 18% |
DRUG NET
Compared with other kinds of net-leased properties, the mean asking price for drugstores is 71 percent higher, according to a May 2004 report compiled by The Boulder Group. The report reveals the recent acquisition of Eckerd stores by CVS will result in a flood of net-leased drugstores on the market. Eckerd stores currently have a mean asking price of around $4 million and a mean cap rate of 8 percent.
Five Hot Spots for Net-Leased Drugstore Deals
- Harris County, TX
- Dallas County, TX
- Allegheny County, PA
- Maricopa County, AZ
- Greenville County, S.C.
Source: The Boulder Group
PAY SCALE WHO SPENT HOW MUCH ON WHAT?
$804 million
Apollo and Rida buy nine shopping centers and 19 Metro stores in Poland.
$431 million
General Growth picks up Mall at Louisiana in Baton Rouge and 50% of Riverchase Galleria in Birmingham, Ala.
$411 million
Moulin International Holdings offers to buy Cole International Corp., owner of eyeglass chain Pearle Vision.
$358 million
GE Real Estate buys Dutch developer Haslemere.
$309 million
Simon buys Plaza Carolina in San Juan, Puerto Rico.
$300 million
Related Cos. plans a 2008 opening for the 1 million-square-foot Gateway Center in the Bronx, N.Y.
$275 million
Macerich completes Phase I of its redevelopment of Queens Center in New York.
$226 million
Knoxville, Tenn.-based Regal Entertainment Group buys 37 theaters from a group of rivals including Signature Theatres.
$58.4 million
Dallas-based Rent-A-Center buys a competitor, the 90-store Rent Rite chain.
$2.5 billion-Total value of net-leased drugstores on the market
30.24% Percent of available net-leased drugstores priced between $4 million and $4.9 million
$4.19 million Mean price of net-leased drugstores on the market
7.50% Mean cap rate of net-leased drugstores on the market
Sav-On Stores sell at the lowest cap rates, with a mean yield of 6.5%
$36,139 Average individual income of a Gen Xer in 2002
20.5% OF GEN X IS OBESE
29.7 million Members of Gen X are parents
62% OF GEN XERS ARE MARRIED
47% of Gen Xers' mothers had a full-time job outside the home when they were growing up
21 of Gen X men have never been married
THE BIERI REPORT: DENVER
Although the Denver market continues to expand in its population and size, it is getting close to being over-stored. Cherry Creek Mall really owned all of the better business prior to the arrival of the Park Meadows Shopping Center. Now the newer lifestyle center, Aspen Grove, will also begin to take some of these customers away. The growth at Flatiron Crossing slowed after a strong start. Downtown shopping business continues to increase in this market. For more on Denver, see our Market Profile beginning on page 42.
*(Some of the rankings given are estimates)
| SHOPPING CENTER | RANKING | YEAR |
|---|---|---|
| Aspen Grove | B- | 2003 |
| Aurora Mall | C | 2003 |
| Cherry Creek Mall | A | 2003 |
| Colorado Mills | A | 2003 |
| Denver Pavilions | B+ | 2003 |
| Flatiron Crossing | B | 2003 |
| Larimer Square | B+/B | 2003 |
| Park Meadows | A | 2003 |
| Southglenn Mall | B-/C+ | 2003 |
| Southwest Plaza | C | 2003 |
| Westminster Mall | C- | 2003 |
| Source: The Bieri Co. | ||